Org. Structure, specialization & Coordination
Functional structure
Regain control
increase vertical differentiation
increase horizontal differentiation
increase integration
Main topic
Structures
self-contained
matrix
multidivisional matrix
hybrid
transfer price
Control Problems
Communications
Measurement
Location
Customer
Strategic
Convert to divisional structure if
increase in vertical differentiation
increase in horizontal differtiation
increase in integration
Divisional - Product structures
multidivisional
advantages
increased org. effectiveness
increased control
profitable growth
internal labor market
disadvantages
managing the corp-divisional relationship
coordination problems betweens divs
transfer pricing
bureaucratic costs
communication problems
product division
product team